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Knowledge and Competitive Advantage The Coevolution of Firms, Technology, and National Institutions
By Johann Peter Murmann Published
(November 2003) at Cambridge
University Press Reviews
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You can download the introductory chapter to the book here: Introduction Download
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Book Description: Entrepreneurs, managers, and policy makers must make decisions about a future that is inherently uncertain. Since the only rational guide for the future is the past, analysis of previous episodes in industrial development can shape informed decisions about what the future will hold. Historical scholarship that seeks to uncover systematically the causal processes transforming industries is thus of vital importance to the executives and managers shaping business policy today. With this in mind, Johann Peter Murmann compares the development of the synthetic dye industry in Great Britain, Germany, and the United States through the lenses of evolutionary theory. The rise of this industry constitutes an important chapter in business, economic, and technological history because synthetic dyes, invented in 1856, were the first scientific discovery quickly to give rise to a new industry. Just as with contemporary high tech industries, the synthetic dye business faced considerable uncertainty that led to many surprises for the agents involved. After the discovery of synthetic dyes, British firms led the industry for the first eight years, but German firms came to dominate the industry for decades; American firms, in contrast, played only a minor role in this important development. Murmann identifies differences in educational institutions and patent laws as the key reasons for German leadership in the industry. Successful firms developed strong ties to the centers of organic chemistry knowledge. As Murmann demonstrates, a complex coevolutionary process linking firms, technology, and national institutions resulted in very different degrees of industrial success among the dye firms in the three countries. |
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"Rarely
has any student of economic change combined impeccable
scholarship, sophisticated theory, challenging ideas, and
engaging narrative in the elegant manner of Johann Peter
Murmann. Readers who have no interest whatsoever in industrial
chemistry will nevertheless learn a great deal about economic
processes from Murmann's original, ambitious work." |
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| "If
evolutionary models are to be successful at all in the social
sciences, it is in enhancing our understanding of technological
and economic performance in the past. In this pioneering work,
Johann Peter Murmann does exactly that, and immediately
establishes himself as one of the most innovative and bold
scholars in the field. Using evolutionary theory and management
science, this book sheds important light on the nineteenth-century
chemical industry. This is one of the most methodologically
original books in interdisciplinary history to come out in recent
years." Joel Mokyr, Robert H. Strotz Professor of Arts and Sciences and Professor of Economics and History, Northwestern University |
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| "Murmann's
study of the synthetic dye industry puts one in mind of some grand
painting by an Old Master: not only is the main scene imposingly
displayed, but fascinating, well-rendered details are to be found
in every corner and shadow. His account of the early decades of
the industry reveals the remarkable complexity of the social
processes of industrial development. At the same time, his
coevolutionary perspective transcends the details, organizes this
complex story in a compelling fashion and leads the reader to a
deeper understanding." Sidney G. Winter, Deloitte and Touche Professor of Management, The Wharton School, University of Pennsylvania |
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| "Darwin
not only set out his theory of biological evolution at some length
but also provided as much empirical backing as was available at
the time. In this remarkable book Johannn Peter Murmann sets out a
general analysis of coevolution and provides a detailed example to
back it up how quickly the discovery of synthetic dyes by an
academic scientist gave rise to an industry that in turn
influenced the development of academic science. Murmann provides a
well-developed theory and evidence to support it. Who could ask
for more?" David L. Hull, Professor of Philosophy (Emeritus), Northwestern University |
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"Johann Peter
Murmann's book is a major contribution to our understanding of
the interrelations between technological change and industry
evolution. This comparative study of the emergence of the
synthetic dye industry wonderfully illustrates how differences
in public policy, university traditions, and industry context
affect both technical as well as industrial change. Murmann's
book will have a major impact on coevolutionary theory as well
as industrial policy. It is a book for researchers as well as
for policy makers." |
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| "Murmann's
admirable book provides the most persuasive account, to date, for
Germany's early leadership and long dominance of the synthetic dye
industry after the momentous, serendipitous scientific discovery
by a young Englishman in 1856. It is an account that employs a
sharply focused, coevolutionary lens upon the differing historical
experiences of Germany, Great Britain and the United States. The
book calls attention to the ways in which the earlier development
paths of the German states had equipped them, much more
effectively than their potential competitors, to exploit the
specialized research tools of synthetic organic chemistry, upon
which commercial success was to become heavily dependent." Nathan Rosenberg, Professor of Economics (Emeritus), Stanford University |
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| "Johann
Peter Murmann's book shows convincingly that competitive
advantage, especially in the knowledge-intensive industries, is
firmly rooted in national institutions. Blending quantitative
analysis and case study evidence over a period of decades, he
makes a major contribution to the fields of strategic management,
organizational theory, and technological innovation." Mauro F. Guillen, Dr. Felix Sandman Professor of International Management, The Wharton School, University of Pennsylvania |
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English Reviews |
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| German Reviews | |
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| In German | WirtschaftsWoche Page 1 Page 2 (in pdf) |
| Chemie in Unserer Zeit (in pdf) | |
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You can order the book at Cambridge University Press or at: |
Amazon.com
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See some pictures from the synthetic dye industry and product labels from all over the world here.
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